How entrepreneurs can protect business assets during a divorce

Individuals going through the divorce process in Georgia may need to consider how they will share custody, who will get ownership of the home, and how they will divide shared assets. The situation becomes more challenging when one or both spouses are entrepreneurs. In this case, one’s business could be the largest asset that they have.

When a soon-to-be ex-spouse wants a part of an entrepreneur’s business, it can become an emotionally charged situation. Most entrepreneurs feel a sense of attachment to the business they started. When they feel that their business is under attack, they respond in kind. It is important for entrepreneurs to maintain a level head, look at the facts, and have a clear picture of the worth of their business so that they can negotiate from a position of knowledge.

If both spouses are partners in the business, it is imperative for them to have an accurate value of all of their business interests prior to engaging in divorce negotiations. This is the only way that they can ensure that they will have an equitable payout. This can be a time-consuming process.

Many entrepreneurs have seen the value of using the services of an appraiser. This may be a trustworthy attorney or an accountant. An unbiased professional can examine the facts and determine the value of things like electronic equipment, real estate holdings, and other property involved. They will be able to look at the amount of income that is generated annually and predict future growth.

In addition to the tangible assets, there are the intangible things, such as name recognition and reputation. These things must be factored in as an entrepreneur negotiates how their business assets will be divided.

Entrepreneurs and other individuals involved in high asset divorces could benefit from the assistance of a family law attorney. These attorneys may represent their clients during the divorce proceedings. They may advise their clients on things such as shared accounts, asset valuation, as well as other practical matters that may arise during the divorce.